HTPC

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I've been pretty good in past years with Boxing day sales but this year the
Boxing day maddness got me.
I walked into the shop with the intent to just get a LCD TV but somehow
walked out with a 46" XBR, a complete Energy 7.1 RC series speaker set,
Yamaha receiver along with a Sony PS3, Monster cables, TV stand, the
works.... Pure joy :) Not stoppping there just yet. Having just setup the
system, I couldn't help but wonder how music production would be like on my
new 7.1 setup.

I want to build a Home Theatre PC (HTPC) for this purpose but had some
questions for those already running a similar setup:

If I run an Optical audio out from the HTPC into the Yamaha 6290B receiver
can I get full 7.1 control?
I know 7.1 is possible through blu-ray via HDMI but how about Optical?
If not, will a soundcard with HDMI like the Asus Xonar HDAV1.3 work with the
Sequencer?

Hope everyone is having an awesome new year!

Larry
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